DKSH Is Honored to Rank Among the Top 50 Sustainable Development Companies in Vietnam

Ho Chi Minh City, June 30, 2023 – DKSH, a leading Market Expansion Services provider, is one of the 50 companies to receive the Corporate Sustainability Award 2023 by Nhip Cau Dau Tu magazine in Vietnam.

The Corporate Sustainability Award by Nhip Cau Dau Tu magazine is an annual recognition to the top 50 businesses that have significant contributions in promoting sustainability via impactful activities and initiatives toward social and environment in Vietnam. This award goes in line with the government’s focus to raise awareness about the important role of sustainability in business operations and the recent national commitment to COP26’s target to achieve net zero emission by 2050.

Being a leading Market Expansion Services provider for nearly 160 years, today operating in 37 markets, sustainability is a focus area in our corporate strategy. DKSH’s sustainability strategy reflects these four objectives: enable our people to flourish, make our value chains more sustainable, become climate neutral by 2030, and create a positive local impact. In its latest Sustainability Report 2022, DKSH has reported good progress on all these four objectives.

As the trusted partner for growth across four major business units in Vietnam, DKSH holds an important role in providing sustainable supply chain management services for many of our clients. Owning a capillary distribution network with eight distribution centers and cross docks nationwide, DKSH handles thousands of transactions daily, ensuring constant accessibility to high quality and life-saving products across Vietnam. Understanding the importance of sustainability, especially in supply chain management activities, DKSH has been implementing various group wide as well as local initiatives in Vietnam.

Aligned with Group’s sustainability objectives to achieve the target of reducing 65% of greenhouse gas emissions in its own operations by 2025 and to become climate neutral (Scope 1+2) by 2030 globally, the company consistently pursues a low-carbon strategy, which includes purchasing International Renewable Energy Certificates (I-RECs) as a credible claim for 100% of renewable electricity use. DKSH is also on its way to fully replace halogen lightbulbs with LED bulbs across distribution centers, and cross docks in the market by the end of 2023. The company also has been using biodegradable and compostable materials in packing process when possible. Recently, DKSH Vietnam has initiated to replace plastic air pouches by using shredded used carton pieces as corrugated fillers. By doing so, the company reduces unnecessary plastic usage while utilizing carton waste, yet still ensures to meet the requirements for products spacing in delivery.

Along with considering the environmental impact of the packaging process, DKSH also ensures its distribution activities have as small a carbon footprint as possible. This required extensive efforts for strategic delivery scheduling to make sure the maximization of delivery volume in every vehicle on every route, while minimizing the energy usage for each delivery. Not doing this alone, DKSH also set high standard for its transport services partners in terms of sustainability. The company adds fuel efficiency as one of the key criteria when selecting a transport service provider, alongside the usual standards for quality, reliability, and cost. DKSH encourages its suppliers to use environmentally friendly vehicles and renewable fuels in their transports.

Pham Duy Khiem, General Manager, Supply Chain Management, DKSH Vietnam, stated: "Being named in the Top 50 Sustainable Development Companies in Vietnam demonstrates our commitment to sustainability across our daily business operation, and in supply chain management specifically. Aligned with not only our Group’s sustainability directions, but also Vietnam’s national target to achieve net zero emission by 2050, DKSH will continue to put our strong efforts in driving a sustainable future in a responsible manner in Vietnam, and for Vietnam."